The corporate insolvency resolution process (CIRP) was initiated following the admission of an insolvency petition filed by IDBI Trusteeship Services. Claims of over Rs 3,255.82 crore were admitted, with IDBI Trusteeship Services accounting for the entire voting share in the CoC.
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The resolution plan, which received 100% approval from the sole committee of creditors (CoC), represented by IDBI Trusteeship Services, envisages a total resolution value of Rs 352.50 crore.
“The resolution plan, which received 100% approval from the sole CoC, represented by IDBI Trusteeship Services, includes a total resolution value of Rs 352.50 crore, against the Maximum Fair Value as obtained by the COC of the Assets being 132.98 crores, and the Maximum Liquidation Value Being 86.15 crores,” said Sukumar Shetty, MD & Group COO, Aspect Group.
He further added that such offers are accepted by the CoC based on existing valuation of assets as provided under the Insolvency and Bankruptcy Code, 2016 and not proportionate to the claim.
Instead of a cash payout, the secured financial creditor will receive up to 100,000 sq ft of constructed free-sale area in the company’s slum rehabilitation project at Teenmurti in Mumbai’s Magathane area in Borivali.The resolution professional, through counsel Nausher Kohli, informed the tribunal that in the successful bidder, 50% capital is held by Aspect Infrastructure & Construction (AICPL), an Aspect Group company with over 15 years realty and infrastructure projects execution experience and the balance 50% of the capital is held by Karmas Buildcon LLP.
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The resolution process witnessed multiple rounds of invitations for expressions of interest and repeated attempts to attract bidders after earlier plans either failed eligibility requirements or were rejected on commercial grounds. Bharadvaja Buildcon emerged as the successful resolution applicant after its proposal secured unanimous approval from the CoC in April 2025.
According to the resolution plan, project funding will be supported through promoter contributions, internal accruals and, if required, external borrowings. The successful resolution applicant has already deposited the required Rs 1 crore performance security following the issuance of the letter of intent.
As per the plan, construction of the free-sale component would commence within 25 months of plan approval and the secured creditor’s entitlement would be delivered within the following 24 months, taking the overall outer timeline to 49 months. The NCLT observed that the resolution plan complied with the mandatory provisions of the Insolvency and Bankruptcy Code and the CIRP regulations.